House Democrats Ask FCC To Press T-Mobile/MetroPCS To Keep Jobs As Approval Condition

metropcs

A number of House Democrats are urging the FCC to make sure that T-Mobile will accept steps designed to protect jobs as a condition of FCC approval. In a letter to FCC Chairman Julius Genachowski, 62 House Democrats urged they would work against “another consolidation of two companies that leads to reduction of American jobs.” The letter further asked the FCC to force T-Mobile to commit to “preserving US jobs” before signing off on the proposed merger.

It’s likely that a merger between the two companies would involve job losses as a combination of two marketing, sales and HQ offices would lead to overlap. In response to the letter, T-Mobile spokesman Timothy O’Regan issued a statement to The Hill:

“The combination of T-Mobile USA and MetroPCS will create a stronger company with the goal of emerging as the country’s leading value carrier, providing much needed competition against the larger established players in the wireless business.”

T-Mobile has committed to adding more than 1,000 jobs in their B2B department even as they cut more than 350 net jobs in 2012. This letter is just another minor bump in the road as T-Mobile and MetroPCS still have some work to do to push the merger through as the two largest MetroPCS shareholders press for a better deal. MetroPCS shareholders will vote on the proposed combination on April 12th.

Fierce Wireless via The Hill

 

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  • http://benpike.net/ Ben Pike

    Soooo they want to force inefficiency and wasted money on salaries for duplicated positions. Got it.

    • iTried

      I think its more like “Hey, don’t outsource the rest of the T-mobile reps since Metro is outsourced as it is.”

      • http://benpike.net/ Ben Pike

        That’s should be the boards decision alone, not the FCC’s to hold over their head.

        • iTried

          Now it will just be part of the boards decision.

        • rfgenerator

          Ben, not only the FCC should be overseeing this sort of thing but the Department of Labor as well. It’s time to put roadblocks in front of Corporations who want to outsource jobs to some country with no minimum wage, no environmental concerns, few limits on child exploitation, etc.

        • Mark

          Labor, yes.
          FCC? ABSOLUTELY NOT.
          This is NOT an FCC matter no matter much people think it should be.

          I would fully expect any company to take it to the highest court to stop the FCC from having a say in job creation or deletion.

          Now, if they were telling the FCC to dictate how spectrum was being used, then I would say yes… the FCC should handle that.

          I don’t like mergers and too big to fail corporations myself but we need these agencies to stick to their reasons for being and not give them new roles.

        • http://benpike.net/ Ben Pike

          The injustice is using force to advance your own agenda. If your agenda is so great people will adopt it manually and you won’t need to force it.

    • Deadeye37

      Welcome to the wonderful world of liberal democrats. Thinking with their hearts instead of their heads.

      • TBN27

        Ain’t wrong with that. It is even better when they are on the same page.

        • Deadeye37

          Its good that they think of people and their concerns first. Conservative Republicans think with their brains but don’t use their hearts very much. Really, it just needs to be compromise between the 2 to make really good decisions.

          Too bad compromise and congress/senate are oxymorons right now. We could get things moving if liberal democrats and conservative republicans weren’t such polar opposites!

        • TBN27

          Exactly

        • Arden

          > Conservative Republicans think with their brains

          I don’t know what Republicans you’ve been watching lately

  • srr79

    At least they didn’t say ” we won’t vote to approve it at all”. I am sure T-Mo will come up to an agreeable solution. Verizon had similar issues when buying Alltel. They agreed to no job cuts but they simply did not rehire as people left through normal attrition.

    • kalel33

      Metro will do the same thing that T-mobile did during the AT&T buyout attempt. They fire tons and tons of people based on production numbers that before were considered great but were changed to force people to leave or just fire them. It’s a way of saying, “Look! We didn’t lay anybody off”. Their attempts lost countless jobs but they still ended up shutting down 7 call centers and moving quite a few of the jobs overseas.

  • ColoradoGray

    Except for the top levels, the two companies will be running running independently until at least 2015 as MetroPCS customers are moved over to the new network, and likely to remain a separate brand longer than that. Doesn’t open a lot of room for redundancy.

  • Zach Mauch

    people don’t get this, but forcing things like this does more harm than good. It prevents a free economy and drives up costs which affect both the business and the consumer. This is a political stunt, nothing more.

    • David

      That is a pretty sweeping assertion. No economy is completely free and nor should it be. Corporations don’t play nice without oversight and rules.

      • superg05

        exactly the banks caused this cause bad economy there was no oversight and sadly there still isnt

  • Zach Mauch

    Just an FYI, in the current consumer market, this merger is GOOD for the consumer. It makes for a stronger 4th option which contributes to higher competition in the industry. Saddling this new company with cost constraints the others don’t have is not a good thing.

  • TBN27

    That should be very very easy. They should just close down the overseas customer support and keep the metro pcs support as part of the merger. That shouldn’t be a problem

    • galaxymaniac

      you will never have a career in accounting :)

      • TBN27

        Neither do I want to. Learning how to pinch pennies eventually will lead to me getting blisters on my fingers.

  • Dion Mac

    Their response didnt sound reassuring. Honestly thinking they could have kept that. Just saying. Not mad…

  • Juan Pablo Darquea

    I agree with the fcc is not there foul that two companies conviene you loose your job some will disagree with me but if your job is on the line then another story

  • galaxymaniac

    T-mobile, how does it feel to be in AT&T’s shoes now?

  • Blake Poindexter

    If you work for T-Mobile, check out the new Facebook page ‘T-Mobile Workers United’ where employees from all over the USA are talking about what it’s like to work for T-Mobile and how things could be made better. http://www.facebook.com/tmobileworkers

    Like us and share your opinions!

  • Employee

    As an employee working in operations, T Mobile really needs the additional employees in operations to maintain the existing network and to manage customer growth rather than hiring outside contract companies who’s crappy installation work causes high drop calls and other network issues. The company (T Mobile) operates very lean with the expectation that existing employees in operations wear many hats causing enormous amounts of stress. The addition employees to operations is a blessing to all in operations which allow work to be off loaded.

  • Deihmos

    I am not in favor of anyone losing their jobs but the govt should stay out of these matters.

  • Nearmsp

    How interesting. 100 faceless congressmen whose names were never disclosed signed a letter to FCC supporting AT&T’s application to buy T-mobile. AT&T of course has the most number of lobbyists on the hill. Not one of our corrupt politician’s talked about job losses then. No surprise here, AT&T wants to bog down T-mobile. What better suggestion than to talk about job retention! The corrupt politicians are back again doing the bidding for AT&T.

  • D Velasquez

    ranjit and chad probably won’t get their customer service jobs ….too bad for them haha

  • Angkorwat77

    Government creates job loss not mergers. How can an economy grow with so much restriction on the private secture?